Survey reports manufacturers, distributors expect to add jobs during next 12 months
According to the 2014 McGladrey Manufacturing and Distribution Monitor, nine out of 10 executives at small and midsize manufacturing and distribution companies expect solid growth over the next 12 months, and two-thirds plan to add jobs during that period. In addition, two-thirds reported that they expect their profit (before interest and taxes) to rise over the next year.
Despite this positive outlook, executives indicated that they continue to face headwinds that could be holding them back from even further growth. As was the case with last year's survey findings, regulatory issues topped the list of concerns this year, with two-thirds of respondents expecting their growth to be limited by regulation over the next year — a concern that is more challenging, according to survey participants, than competition from other companies.
"There is no question that the industrial sector is growing, but industry executives clearly believe it could be growing more quickly," said Karen L. Kurek, national industrial products practice leader with Chicago-based McGladrey.
The survey includes responses from more than 900 industry executives at small and midsized U.S. manufacturers and distributors and provides an annual update on the state of middle-market companies in the industrial sector.